St. Joseph Health System Consolidates Supply Chain For Improved Performance

PLANO, Texas, May 12 /PRNewswire-FirstCall/ -- With the help of Perot Systems Corporation , St. Joseph Health System (SJHS) has transformed its supply chain into an integrated function that enhances decision-making and achieves improved financial performance that supports patient care.

Perot Systems provided the project leadership and application support to implement the new supply chain function throughout SJHS.

During the two-and-a-half-year implementation, the project consolidated item, vendor and manufacturer master files for 12 SJHS hospitals. Prior to the consolidation, each hospital had its own set of the three master files. Today, the hospitals all use the same set of master files which is maintained in a single data repository. More than 3,000 users can now access the new system, which uses Pathways Materials Management (PMM) software from McKesson, through the SJHS intranet developed by Perot Systems. The PMM system -- which delivers supplies to more than 20 supply locations in California, Texas, and New Mexico -- was implemented on schedule and under budget.

The consolidation of all of the master files allows SJHS to leverage the full purchasing power of the hospital system. Prior to PMM, extensive time and labor was required to gather, consolidate, and analyze buying pattern information from the hospitals. Today, SJHS generates a monthly, automated feed of its collective purchasing patterns.

According to Jim McManus, SJHS vice president Finance, and PMM project sponsor, "PMM is an excellent example of what can be accomplished when two organizations work together, each applying its own unique strengths, to achieve a common goal. The task of forming teams from disparate hospitals to master the monumental tasks of consolidating their data, establishing new procedures and processes, and implementing PMM on time and under budget is a phenomenal accomplishment.

"Melding the collective knowledge of St. Joseph Health System hospitals with the project management and technical skills of Perot Systems proved to be a powerful and effective tool for realizing our vision. Leadership was key to effectively orchestrating the timely execution of myriad tasks accomplished by a number of diverse organizations spread over a large geographic area. By aggregating our data into a single database, SJHS has greater leverage during contract negotiations, can better manage existing contracts, and can ensure correct pricing. Therefore, the product of this effort will provide financial and performance benefits for SJHS for years to come."

Tim Moore, Perot Systems account manager for SJHS, added, "This complex project involved both a process and cultural change throughout the SJHS. There were multiple business process redesign teams that set policy, defined processes, and enforced standards for the new consolidated materials management system. Our teamwork enabled us to successfully support the SJHS vision of a consolidated, efficient supply system that not only improves financial performance but also enhances decision making that helps improve patient care."

About St. Joseph Health System

St. Joseph Health System (SJHS) is an integrated healthcare delivery organization that provides a broad range of medical services within three geographic regions -- Northern California, Southern California and West Texas/Eastern New Mexico. With net revenues of $2.7 billion in 2003 and nearly 19,000 employees, the system family includes 14 hospitals and three home health agencies, as well as hospice care, outpatient services, skilled nursing facilities and physician organizations. More information is available at http://www.stjhs.org/ .

About Perot Systems

Perot Systems is a worldwide provider of information technology services and business solutions. Through its flexible and collaborative approach, Perot Systems integrates expertise from across the company to deliver custom solutions that enable clients to accelerate growth, streamline operations and create new levels of customer value. Headquartered in Plano, Texas, Perot Systems reported 2003 revenue of $1.5 billion. The company has more than 14,000 associates located in North America, Europe, and Asia. Additional information on Perot Systems is available at http://www.perotsystems.com/ .

This press release contains forward-looking statements. These statements relate to future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "forecasts," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "potential," or "continue" or the negative of such terms and other comparable terminology. These statements are only predictions. Actual events or results may differ materially. Please refer to our Annual Report on Form 10-K for the fiscal year ended December 31, 2003, as filed with the U.S. Securities and Exchange Commission and available at http://www.sec.gov/ , for additional information regarding risk factors. We disclaim any intention or obligation to revise any forward-looking statements whether as a result of new information, future developments, or otherwise.

Perot Systems Corporation

CONTACT: Georgia Engle of Perot Systems Corporation, +1-972-577-6012, orfax, +1-972-577-5142, or georgia.engle@ps.net ; or Carolyn Carter, CorporateCommunications of St. Joseph Health System, +1-714-347-7831, orccarter@corp.stjoe.org

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